Removal of sales tax on import of machinery solicited

Advertisement

11/08/05FAISALABAD. Shahid Ahmad Vohra General Secretary Anjuman Tajran Federation has appreciated the Chairman Federal Board of Revenue (FBR) and the Ministry of Finance for restoration of zero rating import of machinery and expressed hope that it would attract fresh investment in the textile trade and industry. The ministry made this announcement through SRO 727 dated 1st August 2011. He said the positive attitude of the government in understanding the industry contentions on zero rating import of textile machinery is highly appreciable. He said it will develop more close relations with government in resolving disputed issues.

He said that the government had withdrawn sales tax exemption on imported machinery through SRO 230 dated 15 March 2011 on the concern that the commercial importers were misusing the facility. He said this matter has been taken up with relevant authority and argued that the withdrawal of sales tax exemption would merely be an exercise affecting liquidity of the investors with no revenue benefit to the exchequer. He said the Chairman FBR, in agreement with the stake holders directed the concerned authority to restore the zero rating import regime for textile machinery. He anticipated that restoration of zero rating import of textile machinery would help industry in taking decisions of further investments.